Case Study Final Doc.

Subject: accounting

Profitaility Index Please solve for the profitiability index and explain. The information is attached.   ** The previous person answered it incorrectly*** The only answer that was correct was Project B 1.5 PLEASE ENURE ACCURACY

help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working

Andrew Oxnard, chief financial officer, has been asked by Harry Pendel, chief executive officer and co-founder of Pendel & Braithwaite, Ltd. (P&B), to analyze two capital investment projects (projects A and B), which are expected to generate the following profit (p)streams:   Profit Streams for Projects A and B period  ?? ($) ?? ($) 1 100,000 350,000 2 200,000 300,000 3 250,000 200,000 4 300,000 100,000 5 325,000 100,000 Total  1,175,000 1,050,000 Profits are realized at the end of each period. Assuming that P&B is a profit maximizer if the discount rate for both projects is 12%, which of the two projects should be adopted?

help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working

help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working

Company is looking for opportunities to grow. Management is currently considering project proposals that will help expand the business. Several ventures were pre- screened and the team in-charge of evaluating proposals focused on two projects. The following data are given for two mutually exclusive project proposals: Project A Project B Initial Investment Annual Net Cash Inflows: Year 1 Year 2 Year 3 Year 4 Year 5 50,000.00 d) Internal Rate of Return e) Discounted Payback Period f) Profitability Index 15,000.00 14,000.00 12,000.00 12,000.00 12,000.00 60,000.00 30,000.00 14,000.00 10,000.00 10,000.00 10,000.00 Assuming that the firm's required rate of return is 20%, compute the following: a) Accounting Rate of Return b) Accounting Payback c) Net Present Value

Kindly help me with accounting questions

Calculate the total required rate of return - in nominal terms – for the investment.  Calculate the total required rate of return - in real terms – for the investment.

Fonics corporation is considering accounting

You are the investment manager of an appliance company. The industry is currently in the expansion face and the CEO would like to capture as much of the market share as possible. You asked your analysts to submit project proposals as summarized below. Project Discount Rate Investment Annual Cash Flow Project Life (Years) 10 3M 1M 5 12 4M 1M 8 8 5M 2M 4 8 3M 1.5M 3 12 3M 1M 6 Which projects should the manager choose? If you were given unlimited capital, which projects should be implemented? ABCDE

Question 1 (a) Explain how the Fisher separation theory shows that, under certain conditions, shareholders can delegate to managers the task of choosing which physical investment projects to undertake. What specific conditions must hold for this to be true? (b) PJP, an industrial manufacturer, is considering a new capital investment project to make and produce and sell a new type of electrical generator. The first stage of the project requires an investment of $8,000 now for the initial design and market research. There is a 40% probability that this phase will be successful. If it is not successful (probability 60%), the project will be abandoned with zero salvage value. If the first stage is successful, a further investment of $300,000 will be required one year from now to make and test prototype generators. If this second stage is not successful (probability 55%), the prototypes could be sold for $40,000. If it is successful (probability 45%), PJP would go ahead and produce the…

As a recent graduate of the UWIOC, The General Manager of the company has hired you to work alongside the Financial Controller of the company to help determine whether the company should invest in the new product line. He has provided you with the following questions to guide you in your assessment of the project and to present your findings to the Company.  1. Determine the weighted average cost of capital (WACC) for Vigour Pharmaceuticals. (Formula to be used is attached)

B Shaylee Corporation has $2.00 million to invest in new projects. The company's managers have presented a number of possible options that the board must prioritize. Information about the projects follows: Initial investment. Present value of future cash flows Project A $ 420,000 770,000 Required: 1. Is Shaylee able to invest in all of these projects simultaneously? 2-a. Calculate the profitability index for each project. 2-b. What is Shaylee's order of preference based on the profitability index? Complete this question by entering your answers in the tabs below. Project B $ 235,000 420,000 Req 1 Req 2A and 28 Is Shaylee able to invest in all of these projects simultaneously? Is Shaylee able to invest in all of these projects simultaneously? Reg 1 Req 2A and 2B > Project C $725,000 1,205,000 Project Di $950,000 1,565,000

You are an economic and financial advisor of company Express S. A. This company asks you to construct a cash flow and determine financial indicators necessary to make a decision on a business idea and thus to know whether an investment project is profitable. Following steps are suggested: Step 1. Carefully read following background information: Investment project needs $356,000 in machinery and $40,000 in working capital. Investor has equity capital, which is currently invested with a return of 12% per annum, and also has possibility of obtaining credit. Machinery is estimated to have a useful life of 3 years with a scrap value of $12,000 and working capital is 40% recoverable, both at the end of last period. Direct manufacturing costs will be as follows: - Labour: $264,000 - Raw materials: $132,000 - Other costs: $28,000 - Patents: $14,000 Debt is payable at the end of each of three (3) years with annual interest payments and can be amortized annually in any amount desired. Law…

As a recent graduate of the UWIOC, The General Manager of the company has hired you to work alongside the Financial Controller of the company to help determine whether the company should invest in the new product line. He has provided you with the following questions to guide you in your assessment of the project and to present your findings to the Company.  1. Determine the weighted average cost of capital (WACC) for Vigour Pharmaceuticals. (Formula to be used below)

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